Lawyers Corner, A one-stop centre on lawyers and queries
Lawyers Corner, A one-stop centre on lawyers and queries
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Jul 14 2011, 12:45 PM
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#1
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Junior Member
66 posts Joined: May 2011 |
HI, i have a query here regarding loan agreement fee. i thought the legal fee & stamp duty is fix on a rate, and lawyer should follow the rate to charge client. but it seem like not true. for loan RM320,450, i pay RM5,500 for tatal fee. no detail breakdown some more. lawyer only give a receipt in total figure, no inv also. pls advice. thx very much
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Jul 14 2011, 03:01 PM
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#2
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Junior Member
66 posts Joined: May 2011 |
QUOTE(lyt25_1234 @ Jul 14 2011, 02:49 PM) I remember is something like for the first RM100K, it will be charged 1%, subsequent will be 0.7%. Correct me if I am wrong, guys. As i know it should be 1st 150k = 1% = RM1500subseq 0.7% = RM1193.15 1500+1193.15 = RM2693.15 x 6% govn tax = 161.60 = RM2854.75 stamp duty 0.5% = RM1602.25 Total legal + stamp duty = RM2854.75+RM1602.25 = RM4457 the lawyer charge 5500, he untung RM1043 for loan 320,450 This post has been edited by may1126: Jul 14 2011, 03:01 PM |
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Jul 14 2011, 05:00 PM
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#3
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Junior Member
66 posts Joined: May 2011 |
QUOTE(dariofoo @ Jul 14 2011, 04:19 PM) You have the right to ask for a breakdown of charges - it's normally called Note of Charges. Insist for it. Thx for ur advice Total fee might include disbursements (expenses) and 6% govt tax. Don't forget that. Download the SRO at the first page to get a fair idea of what and how much can be billed by your lawyer. for loan 320,450 my calculation = 1st 150k = 1% = RM1500 subseq 170,450 x 0.7% = RM1193.15 1500+1193.15 = RM2693.15 x 6% govn tax = 161.60 = RM2854.75 stamp duty 320,450 x 0.5% = RM1602.25 Total legal + stamp duty = RM2854.75+RM1602.25 = RM4457 pls correct me if wrong, thx the lawyer charge 5500, he untung RM1043 ; Disbursement = RM1043 ? just curious that how much MAXIMUM lawyer can charge for disbursement |
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Jul 15 2011, 02:41 PM
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#4
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Junior Member
66 posts Joined: May 2011 |
QUOTE(dariofoo @ Jul 15 2011, 12:55 PM) There's legal fees on subsidiary legal documents like DOA and PA as well. It also depends whether it is subsale or from developer. Thank you very much sifu To cut a long story short and to avoid any more confusion, just insist on a note of charges from the lawyer IMMEDIATELY. You can then compare with the many samples in this thread. Disbusements vary from firm to firm. As stated, it may not be RM1043 as there are legal fees on subsidiary legal documents as well. Good luck i call the lawyer firm request the note of charge, telling we r rushing doc, we r busy now, not free to give u the note. pls call next week. wat the balia lawyer firm. not professional service. as my expectation, money oldy received. this property is new. developer free SPA for purchaser, but i need to pay RM500 disbursement on SPA. By the way bcos of free SPA, developer fix me on panel lawyer. now i suspect the lawyer and developer have conflict of interest in the SPA transaction For new property need DOA & PA ? |
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Jul 15 2011, 04:45 PM
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#5
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Junior Member
66 posts Joined: May 2011 |
QUOTE(dariofoo @ Jul 15 2011, 04:25 PM) Put a letter in writing and demand it from them. Give them 7 days, failing which you will report to the A&S Disciplinary Board. That ought to jolt them. Really thank you very very much to u sifu There are no free lunches. Now you know why they act like that. The developer is paying their fees, not you. If you wanted to avoid any so-called conflict of interest, you should've appointed your own lawyer at your own cost. Only a DOA and PA in favour of your financier, if property without strata/indiv title. DOA & PA will charge how much? have fix rate on the calculation ? |
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Jul 18 2011, 11:47 AM
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#6
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Junior Member
66 posts Joined: May 2011 |
QUOTE(dariofoo @ Jul 15 2011, 05:51 PM) I guess you didn't read the SRO in full, or maybe you didn't understand? No worries. The language can be a bit complex sometimes. Dariofoo sifu,Since you've just mentioned just now that it is from developer, so the full scaled fees do not apply in your case. Look at pages 13-15 of the SRO doc. THIRD SCHEDULE - In relation to Charges...and other security documents At the bottom of page 14 - for transactions under the HDA - yours will fall under ©. So the lawyer can only charge you 70% of the scaled fees in relation to legal fees for the principal security doc, i.e. the facility agreement. With regard to the subsidiary security doc, refer to page 14 - for each subsidiary doc - 10% of the scaled fees (the reduced scaled fee, not the full one) subject to min of RM200 and max of RM1,000.00. So, there would be two separate legal fees in relation to DOA and PA respectively for your case. Now you know the formula so you can do the math ya really thank you very much to u i get the detail from lawyer 1-facilities fee - 3231.77 2-6% govn tax - 193.90 3-stamp duty & disbursement - 2582.25 total = 6007.92 then after disc i pay 5500. dear sifu, as my calculation the facilities fee = 2693.15 + DOA = 269.31 + PA = 269.31 = total 3231.77 the lawyer only give me 507.92 discount which is not = SRO third schedule no C - 70% of scale fee (actual 30% =807.95) if the facilities fee 2693.15 - 507.92 = 2185.23 then the govn tax should be 131.11 for DOA & PA is 10% of the facilities fee = 269.31 which is b4 disc so can i do reimbursement from the lawyer ? is this legal ? thank you sifu advice |
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Jul 18 2011, 02:59 PM
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#7
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Junior Member
66 posts Joined: May 2011 |
QUOTE(dariofoo @ Jul 18 2011, 01:46 PM) may1126: Sifu, the problem is i already paid 5500 to lawyer, but chq haven clear. how should i do now, stop the chq now ? or reimburse back from lawyer if he already bank in.» Click to show Spoiler - click again to hide... « So basically he gave you a "discount" which was not really a discount because he did not follow the SRO (which only allows him to bill you 70% of the scaled fees). So what you need to do now is to ask him politely whether under the SRO, if buying from developer, is it still full scaled fees or is it less. Surely he has to say that it would be less, as per the SRO. Then you just get the new calculation, and pay him accordingy la. You save another RM300 roughly, and the lawyer earns the scaled fees accordingly. And everyone lives happily ever after. The end. thank you very much ur advice |
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Jul 19 2011, 09:48 AM
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#8
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Junior Member
66 posts Joined: May 2011 |
QUOTE(dariofoo @ Jul 18 2011, 06:00 PM) Just saw your post. A bit too late in the day to call him now huh. Hope you did without waiting for me to advise you though. If you did, then ask for the new note of charges with the 70% scaled fees reflected. Thank you very much, u r not only helping me, but all the purchaser for this project who use same lawyer. Otherwise, if cheque cleared, ask for reimbursement. really kena buy u a tea. thx sifu |
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Jul 19 2011, 12:48 PM
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#9
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Junior Member
66 posts Joined: May 2011 |
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Sep 5 2011, 02:31 PM
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#10
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Junior Member
66 posts Joined: May 2011 |
Hi, sifu..
Recently bought a link hse with SPA price RM330k, refer to the invoice, i realized tat private caveat cost me RM730. -Register of entry private caveat - RM320 -Register of withdraw private caveat - RM60 -Entry private caveat - RM200 -withdraw private caveat - RM150 and another one is Register of MOT - RM400. all of this is it reasonable charges ? thanks sifu ^^ |
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